ROI (Return on Investment)

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Definition

ROI (Return on Investment) is a measure of the financial benefit gained from an investment, relative to its cost. In climate risk, it helps quantify the value of adaptation or mitigation actions.

Example in context

A developer considers two options: installing flood barriers or relocating a planned warehouse. EarthScan helps calculate potential climate damage costs under each scenario, allowing them to estimate ROI on the mitigation investment.

Why it matters

ROI helps decision-makers justify climate resilience investments using clear financial logic. It connects climate data with business outcomes, especially in infrastructure and asset management.

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